SOURCE: Drobo, Inc.

October 26, 2017 08:00 ET

Drobo Announces New $4M Growth Capital Round Plus Renewed Credit Facility

Investments from Dune Road Capital, Montage Capital and East West Bank

SANTA CLARA, CA--(Marketwired - October 26, 2017) - Today, Drobo announces that Dune Road Capital and Montage Capital have invested a combined $4M in growth capital while East West Bank (EWB) has renewed Drobo's $4M credit facility. These two new financing vehicles will be used to build new products and accelerate Drobo's already stellar growth. Since the new management takeover in 2015, Drobo's performance includes:

  • Eight new products -- double what was achieved during the first eight years
  • Quarterly revenue has more than doubled
  • Doubled gross margins

"I'm so pleased to announce this round of financing to strengthen our position in the marketplace," said Mihir Shah, CEO of Drobo. "The Drobo team has been working hard to grow and these two new financing vehicles are a direct result of our ability to execute."

Building On Legacy For Continued Innovation

Drobo just celebrated 10 years of providing innovative products to creative professionals and Small to Medium Businesses (SMB's). This legacy of innovation has driven growth and has cemented Drobo as the go-to solution for simple, safe, and smart storage solutions used in demanding data intensive workflows. The ever increasing resolution of both photography and video continues to drive demand for Drobo's line of storage solutions. It's these large file formats that make cloud based storage solutions underperform a dedicated direct attached or local network attached Drobo solution.

"Drobo is a great fit for Montage Capital -- the Drobo management team has clearly demonstrated the ability to control cash burn and grow with discipline. Montage is also excited about the potential upside for Drobo, as the company continues to achieve global customer traction with its leadership position in ease-of-use," said Eric Gonzales, Managing Director of Montage Capital.

"Drobo's growth over the last few years has been impressive," said Peter J. Richards, Managing Partner at Dune Road Capital. "That's why we're excited to be part of the team to accelerate their growth."

About Drobo

Drobo makes award-winning storage solutions that provide an unprecedented combination of data protection, expandability, and ease of use. Based on the patented and proven BeyondRAID™ technology, Drobo delivers the best storage experience ever for hundreds of thousands of consumers, professionals, and businesses. For more information, visit our site.

Drobo, BeyondRAID, and the Drobo logo are trademarks of Drobo, Inc., which may be registered in some jurisdictions. All other trademarks used belong to their respective owners.

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